Business Context and Reporting Period
Advanced Semiconductor Engineering, Inc. (ASE) filed a Form 6-K on March 8, 2011, reporting unaudited consolidated net revenues for the month ended February 2011. The company operates in the outsourced semiconductor packaging and testing industry.
Key Financial Metrics
| Metric (NT$ Million) | Feb 2011 | Jan 2011 | Feb 2010 |
|---|---|---|---|
| Consolidated Net Revenues | 13,872 | 15,607 | 12,984 |
| ATM Net Revenues (Excl. USI) | 9,420 | 10,464 | 8,697 |
Sequential Change (Feb vs. Jan 2011): Consolidated revenues decreased 11.1%; ATM revenues decreased 10.0%.
Year-over-Year Change (Feb 2011 vs. Feb 2010): Consolidated revenues increased 6.8%; ATM revenues increased 8.3%.
The filing text does not provide clear values for profit, cash flow, margins, debt, or liquidity for this period.
Material Changes
- Sequential Decline: Revenues dropped significantly from January 2011 to February 2011, with consolidated revenues falling by approximately NT$1.7 billion.
- Year-over-Year Growth: Despite the sequential drop, February 2011 revenues were higher than the same period in the prior year.
- Consolidation Note: Starting February 1, 2010, revenues from Universal Scientific Industrial Co., Ltd. (USI) were consolidated into ASE's figures. The ATM assembly test and material business figures exclude USI.
Guidance, Outlook, and Risks
The filing contains no specific financial guidance or management commentary regarding future quarters beyond standard forward-looking statements.
Risks and Contingencies: The company highlighted several risk factors that could cause actual results to differ from expectations, including:
- Cyclicality and market conditions in the semiconductor industry.
- Highly competitive industry environment.
- Ability to introduce new packaging and testing technologies.
- Integration of pending and future mergers and acquisitions.
- General economic and political conditions, including the global financial crisis.
- Strained relationship between the Republic of China and the People's Republic of China.
- Fluctuations in foreign currency exchange rates.
Investor Verification Checklist
- Verify the specific impact of the Universal Scientific Industrial Co., Ltd. (USI) consolidation on year-over-year comparisons.
- Confirm the reasons for the 11.1% sequential revenue decline from January to February 2011.
- Review the 2009 Annual Report on Form 20-F for detailed risk factor discussions referenced in the filing.
- Monitor upcoming filings for profit margins and cash flow data, which are absent in this monthly revenue report.